Securities holders will be able to deposit certificates directly with Thailand Securities Depository Co., Ltd. (TSD), without having to open accounts with brokers, as TSD moves toward a 100% scriptless system. Depositors will receive a regular six-monthly report, a monthly summary where there are changes in their securities and receive securities deposit, reception and transfer services, free-of-charge.
TSD will, from November 1, 2006, accept securities certificates directly from shareholders and deposit them under the listed company’s account. The service will assist investors who do not have accounts with brokers, and enable them to store their shares certificates safely and conveniently. The change reflects progress in the protection of shareholders’ rights and benefits, and the evolution towards a 100% scriptless system, TSD President Ms. Sopawadee Lertmanaschai stated.
“Depositing using a scriptless system enables shareholders to trade without having to actually hold certificates, which is especially convenient on a first trading day. With this arrangement, shareholders’ rights and benefits have the same protection as when they have the share certificates with them.
“Currently about 74% of shares are in the scriptless system, but when the system becomes 100% scriptless, after-trade services will be faster and more efficient,” Ms. Sopawadee added.
Shareholders of listed companies who are members of TSD can deposit directly. As depository accounts for these shareholders are already provided, they may use the new service under the issuer account from its commencement.
“TSD greatly appreciates the cooperation of listed firms, who obviously recognize this initiative’s benefits to shareholders and the industry,” Ms. Sopawadee said.
